Descartes Systems Current Valuation vs. Number Of Shares Shorted

DSG Stock  CAD 168.66  5.58  3.42%   
Based on Descartes Systems' profitability indicators, Descartes Systems Group is performing exceptionally good at the present time. It has a great chance to showcase excellent profitability results in January. Profitability indicators assess Descartes Systems' ability to earn profits and add value for shareholders. At this time, Descartes Systems' Price To Sales Ratio is very stable compared to the past year. As of the 4th of December 2024, EV To Sales is likely to grow to 13.31, while Days Sales Outstanding is likely to drop 38.59. At this time, Descartes Systems' Interest Income is very stable compared to the past year. As of the 4th of December 2024, Change To Netincome is likely to grow to about 20.5 M, though Accumulated Other Comprehensive Income is likely to grow to (27.2 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.550.7586
Way Down
Very volatile
For Descartes Systems profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Descartes Systems to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Descartes Systems Group utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Descartes Systems's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Descartes Systems Group over time as well as its relative position and ranking within its peers.
  
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Please note, there is a significant difference between Descartes Systems' value and its price as these two are different measures arrived at by different means. Investors typically determine if Descartes Systems is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Descartes Systems' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Descartes Systems Number Of Shares Shorted vs. Current Valuation Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Descartes Systems's current stock value. Our valuation model uses many indicators to compare Descartes Systems value to that of its competitors to determine the firm's financial worth.
Descartes Systems Group is rated # 4 in current valuation category among its peers. It also is rated # 4 in number of shares shorted category among its peers . The ratio of Current Valuation to Number Of Shares Shorted for Descartes Systems Group is about  21,289 . Comparative valuation analysis is a catch-all model that can be used if you cannot value Descartes Systems by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Descartes Systems' Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.

Descartes Current Valuation vs. Competition

Descartes Systems Group is rated # 4 in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Information Technology industry is currently estimated at about 158.71 Billion. Descartes Systems holds roughly 13.57 Billion in current valuation claiming about 9% of equities under Information Technology industry.

Descartes Number Of Shares Shorted vs. Current Valuation

Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.

Descartes Systems

Enterprise Value

 = 

Market Cap + Debt

-

Cash

 = 
13.57 B
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Number of Shares Shorted is the total amount of shares that are currently sold short by investors. When a stock is sold short, the short seller assumes the responsibility of repurchasing the stock at a lower price. The speculator will make money if the stock goes down in price or will experience a loss if the stock price goes up.

Descartes Systems

Shares Shorted

 = 

Shorted by Public

+

by Institutions

 = 
637.62 K
If a large number of investors decide to short sell an equity instrument within a small period of time, their combined action can significantly affect the price of the stock.

Descartes Number Of Shares Shorted Comparison

Descartes Systems is currently under evaluation in number of shares shorted category among its peers.

Descartes Systems Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Descartes Systems, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Descartes Systems will eventually generate negative long term returns. The profitability progress is the general direction of Descartes Systems' change in net profit over the period of time. It can combine multiple indicators of Descartes Systems, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income-28.6 M-27.2 M
Operating Income164.5 M172.7 M
Income Before Tax151.2 M158.7 M
Total Other Income Expense Net-13.3 M-12.7 M
Net Income115.9 M121.7 M
Income Tax Expense35.2 M37 M
Net Income From Continuing Ops115.9 M121.7 M
Net Income Applicable To Common Shares117.6 M123.4 M
Interest Income3.8 MM
Net Interest Income-1.4 M-1.4 M
Change To Netincome19.5 M20.5 M
Net Income Per Share 1.34  1.41 
Income Quality 1.79  1.34 
Net Income Per E B T 0.77  1.20 

Descartes Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Descartes Systems. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Descartes Systems position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Descartes Systems' important profitability drivers and their relationship over time.

Use Descartes Systems in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Descartes Systems position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Descartes Systems will appreciate offsetting losses from the drop in the long position's value.

Descartes Systems Pair Trading

Descartes Systems Group Pair Trading Analysis

The ability to find closely correlated positions to Descartes Systems could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Descartes Systems when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Descartes Systems - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Descartes Systems Group to buy it.
The correlation of Descartes Systems is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Descartes Systems moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Descartes Systems moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Descartes Systems can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Descartes Systems position

In addition to having Descartes Systems in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Rubber and Plastic Products Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Rubber and Plastic Products theme has 27 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Rubber and Plastic Products Theme or any other thematic opportunities.
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When determining whether Descartes Systems offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Descartes Systems' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Descartes Systems Group Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Descartes Systems Group Stock:
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You can also try the Fundamental Analysis module to view fundamental data based on most recent published financial statements.
To fully project Descartes Systems' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Descartes Systems at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Descartes Systems' income statement, its balance sheet, and the statement of cash flows.
Potential Descartes Systems investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Descartes Systems investors may work on each financial statement separately, they are all related. The changes in Descartes Systems's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Descartes Systems's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.